Charging port provider ChargePoint (NYSE:CHPT) seems to be making progress both at home and abroad. For one thing, the U.S. government’s favorable stance on electric vehicles (EVs) should help keep CHPT stock afloat. Moreover, ChargePoint is introducing a product that’s specially designed for Europe’s robust EV market.
It’s amazing to consider how the landscape for EVs has changed so rapidly. Here’s a sign of the times: Reportedly, EV charging sites now outnumber gasoline stations in Manhattan by a ratio of 10 to one.
ChargePoint CEO Pasquale Romano stated, “It’s a question of when,” referring to the replacement of gas stations with EV chargers. This may be true in Manhattan and in the U.S. generally. However, Romano’s vision is also international in scope, and a new EV charging product proves the point decisively.
What’s Happening with CHPT Stock?
Throughout 2022 so far, CHPT has struggled to find a direction. In early October, the shares traded at around half the value of their 52-week high, $28.72.
Could the stock get back into the $20 in the near future? Credit Suisse analyst Maheep Mandloi seems to think so, as he recently assigned ChargePoint an “outperform” rating and a $22 price target.
Mandloi cited EV-friendly legislation from the U.S. government. He noted that several sections of the Inﬂation Reduction Act offer tax credits for EVs and also for EV infrastructure. Not only that, but the Inﬂation Reduction Act allocates $7.5 billion to deploy EV charging and alternative-fuel infrastructure in the U.S.
ChargePoint Has Tailwinds at Home and in Europe
It’s also been reported that the Biden administration approved $900 million in spending to build EV chargers on 53,000 miles of U.S. highways spanning 35 states. Those positive points clearly weigh in favor of owning CHPT stock.
Yet, there’s more to the story as it also has an international angle. There’s a potential game-changer afoot, and it’s called the CP6000. This is a production that ChargePoint just unveiled, and it’s billed as a “global AC EV charging solution now available for vehicles of all types and sizes.”
Due to differences in EV infrastructure and the vehicles themselves, cross-compatibility can be a problem when dealing with different countries. ChargePoint seeks to bridge this gap with the CP6000.
This product is designed especially for the European market. It provides “AC charging for 1- or 3-phase power at an adaptable output” of 3.7 to 22 kilowatts per port.
On top of that, the CP6000 ChargePoint promises that driver support will be available in multiple languages. Furthermore, users will be able to pay with their preferred currency, ChargePoint assures.
What You Can Do Now
There is some risk involved with investing in an EV-related startup business. Therefore, a “B” rating is appropriate for CHPT stock.
It’s an interesting way to get multinational exposure to the EV infrastructure build-out. With the Biden administration creating a favorable backdrop in the U.S., and the CP6000 potentially making waves in Europe, ChargePoint looks like a good EV-focused business to get behind now.
On the date of publication, neither Louis Navellier nor the InvestorPlace Research Staff member primarily responsible for this article held (either directly or indirectly) any positions in the securities mentioned in this article.